Valuation of Enterprise Social Media
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Transcript of Valuation of Enterprise Social Media
© University of Reading 2011 www.reading.ac.uk/irc28 February 2013
Valuation of Social Media Technologies for Internal
Business Activities
Aimee Jacobs, Keiichi Nakata
Informatics Research Centre
Outline
• Introduction
– Overview of Social Media
– Social Media adoption in business
• Theory/Methodology
– Organisational Semiotics (OS)
• Valuation Framing Analysis
• Results & Observations
• Summary
Introduction
• Web 2.0
“a network as platform, spanning all connected devices” (O'Reilly
2007, p. 17) and
“a more mature, distinctive medium characterised by user
participation, openness and network effects.”(Musser, O’Reilly et al.
2006, p. 4)
Introduction
People are rapidly moving towards the use of “Social Media”
Percentage of rise in population for Social Networking sites of Total Online population (Nielsen_Online, 2009)
61
7865 63 67
59 64 6455
39 41
5.4
1.4
9.9 2.710.3 2.6 2.9
4.9
9.612.5
9.9
0
10
20
30
40
50
60
70
80
90
Global
Brazil
Spain Ita
ly
Japan UK US
A
France
Australia
Germany
Switzerland
Pe
rce
nta
ge O
nlin
e G
lob
al P
op
ula
tio
n
Dec-08
Dec-07
Reach and Usage by Country during Apr 2010 (Home & Work)Social Networking / Blog Sites
(Nielsen, 2010)
Country% Reach of Active
UsersTime per Person
(hh:mm:ss)
Brazil 86% 05:03:37
Italy 78% 06:28:41
Spain 77% 05:11:44
Japan 75% 02:50:50
United States 74% 06:35:02
United Kingdom 74% 05:52:38
France 73% 04:10:27
Australia 72% 07:19:13
Germany 63% 04:13:05
Switzerland 59% 03:43:58
Introduction
Employees have used SM in their personal lives and have
brought this concept to the workplace (Cook 2008)
•Features
– Participation
– Collectivism
– Creativity
– Mass collaboration
– Co-creation
“Enterprise 2.0 is the use of emergent social software
platforms within companies, or between companies and their
partners or customers” (McAfee 2006)
Social Media and Internal Business Activities
Stages of Growth Model
1. ExternalCommunications
2. Internal
Communications
3. SocialCommerce
4.SocialBusiness
5. Social
Enterprise
6..Transformation
Corporate
fanpages and
tweets
Communication
Collaboration
Connections
Users aid in
buying and
selling
New business models to meet
customer demands
Enterprise wide information and decisions by
wire
What’snext?
Evolution of SM – Stages of Growth Model Derived from Earl's Model
SM Tools and Possible Uses
SM Tool Potential Uses
Forums Internal discussions; practical and process questions, and general staff
issues (Cook 2008)
Blogs General information tool (Tredinnick 2006)
Knowledge management, business intelligence, project management
(Cook 2008)
SNS Connectivity, knowledge sharing, strengthen relationships (Cook
2008)
Wikis Commercial content management systems (Tredinnick 2006)
Knowledge management and information sharing (Jansen 2009)
Social bookmarking Classification of knowledge and information (Tredinnick 2006)
Virtual worlds Meetings, training, and socializing with colleagues (Cook 2008)
Podcasts Briefings and recordings of conference calls (Davidson 2006)
Provide information and presentations and sharing of information
(Zhang 2009)
Media Sharing Informal virtual learning or training (Cook 2008)
Challenges
• Social – IT dept threatened - less influence (Cook 2008)
– Fear of loss of control or inappropriateness (McAfee 2006)
– Interactive environment (Chui, Miller et al. 2009) (McAfee 2006)(Li 2007)
– Managers inability to understand the forces of change (Chui, Miller et al. 2009)
– Lack of understanding - create value (Chui, Miller et al. 2009)
– Perception that internal hierarchies will flatten (Ledbetter 2008)
• Technical– Integration with existing information systems (Cook 2008)
– Data retrieval and analysis may be an issue (Passant 2007)
Motivation
• Will the same challenges be applicable if the focus is on
internal business activities?
• If not, what challenges may occur?
• Validate the findings from literature review in the
context of internal business activities
Aim & Objective
• Aim
– To reveal the perceptions of the stakeholders in relation to the
benefits and shortcomings of using social media for internal
business activities in organisations
• Objective
– To understand the impact that the use of social media tools
may have on an organisation’s stakeholders using a semiotic
approach
THEORETICAL FRAMEWORK AND FOUNDATIONS
Organisational Semiotics Approach – focuses on the analysis of how information and human
communication work in organisational contexts (Liu et al. 2001) by concentrating on the relations among the IT system, business process and organisation (Liu 2000)
– semiotic concepts applied to the analysis and design of organisations and information systems (IS) through a range of methods and frameworks (Liu 2000)
• Application of OS for SM…• Organisational Containment Analysis (Jacobs, et al., 2010)• The Semiotic Framework (Jacobs, et al., 2010)• Valuation Framing
MEASUR
MEASUR is a set of Methods for Eliciting, Analyzing and
Specifying User Requirements (Stamper, 1993)
• PAM – Problem Articulation Method
• Valuation Framing - Aids in capturing user perceptions of a
technology that is or will be introduced into an organisation
Valuation Framing
• Online survey distributed
• 238 responses - 196 were valid and complete responses
• 7-point Likert scale
• 3 questions from each of the valuation aspects
Aspects Descriptions
Subsistence Physical livelihood, existences e.g. impact of the new system on job security
Classification Differentiation of people by sex, age, level of education e.g. whether the new system improve equal opportunity for all
Territoriality Impact of the new system may lead to an erosion of control, influence or loss of authority
Temporality Time division, synchronous, asynchronous e.g. issues of time zone differences
Learning Sharing knowledge, gaining awareness e.g. de-skill or more opportunity for learning new skills
Recreation Fulfilment, joy e.g. whether the job becomes more interesting or boring
Protection Fairness, rights e.g. granting file rights access to the appropriate groups of peopleand maintain the confidentiality of information
Exploitation Individual’s vs organisation interests e.g. cutbacks on operating costs with salary-cut, retrenchment or longer working hours
Association Grouping, alliances e.g. formation of teams to evoke competitiveness and sense ofbelonging of the employees
Interaction Interrelations, communications e.g. fostering collaborative attitudes in the workplace
Ten Cultural Aspects for Valuating Impacts on Stakeholders (Stamper, 1988)
Example questionsHow strongly do you agree or disagree with the following statement about job security and
the use of Social Media within your organisation?
• It will have an impact on my job security.
Strongly disagree ...........Strongly Agree
• It will affect my livelihood.
Strongly disagree ...........Strongly Agree
• It will Not cause me to lose my job.
Strongly disagree ...........Strongly Agree
How strongly do you agree or disagree with the following statements about how the use of
Social Media affects your job fulfillment?
• It increases the level of fulfilment from my job.
Strongly disagree ...........Strongly Agree
• It will make my job more interesting.
Strongly disagree ...........Strongly Agree
• It will not make my job boring.
Strongly disagree ...........Strongly Agree
Valuation Framing Results
VALUATION FRAMING FOR STAKEHOLDERS USE OF SM IN BUSINESS
Ad
min
istr
ative
(11
)
An
aly
st
(2)
Co
nsu
lta
nt
(7)
Ma
na
ge
ria
l
(5)
Ma
rke
tin
g /
Sa
les (
6)
Mid
dle
Exe
cu
tive
(8
1)
Ow
ne
r /
Fo
un
de
r (6
)
Se
nio
r
Exe
cu
tive
(4
4)
Sp
ecia
list
(4)
Te
ch
nic
al
(28
)
Tra
ine
e
(2)
Su
m
Subsistence 0.2 0.8 0.9 0.9 1.5 0.5 0.7 1.2 0.3 0.7 1.5 9.2
Classification 0.2 1.8 0.8 0.4 0.4 0 0.8 0.4 -0.8 0 0.2 4.2
Territoriality 1 0.2 1.6 1.3 1.8 1.2 1.4 1.6 1.8 1.5 2.3 15.7
Temporality 1.2 -0.3 1.7 1.3 1.9 1.3 1.7 1.6 2.3 1.3 2 16
Learning 1.2 0.8 1 2.1 1.7 1.5 1.6 1.5 1.5 1.7 2.2 16.8
Recreation 0.7 0.3 1.2 1.5 1.9 0.7 0.6 1.3 0.9 0.7 1.8 11.6
Protection -0.5 -0.5 -0.8 -0.4 0.2 -0.5 0.1 -0.3 0.4 -0.6 0.7 -2.2
Exploitation 0.8 -1.2 0.2 0.7 0.9 0.5 0.4 0.7 1.8 0.5 0.7 6
Association 0.9 1.2 1.6 1.9 1.6 1.1 1.4 1.7 1.7 1.3 2.7 17.1
Interaction 0.5 1.3 1.2 1.7 1.2 1.1 1.5 1.4 1.1 1.3 1.8 14.1
Sum 6.3 4.5 9.5 11.3 13.3 7.4 10.1 11 11.1 8.4 15.8
Stakeholders
As
pe
cts
Results & Observations
• Organisational stakeholders value the use of social media for internal business activities
• Organisational stakeholders feel the use of social media will have the highest positive impact in the aspects of association, learning and territoriality
• Organisational stakeholders feel it will negatively impact them in regards to protection
• It appears that entry level positions place the highest positive value for the use of social media for internal business activities.
• Contrary to anecdotal data, upper management appears to value the use of social media for business activities
• Limitations– Sample size– Classification of job types
Summary
Research context
Increase in social media usage among the Internet population
Gradual and ad hoc introduction of SM into business
What has been done:
Identified the value stakeholders place on SM use for internal
business activities
What is next:
Further analysis of the use of SM tools with internal business
activities to gain understanding of what social media is in
business and how best to introduce these tools
– Semi-structured interviews with organisations and customers will
be conducted for further analysis
Thank You
Q & A